Action Minutes San Mateo Local Agency Formation Commission Meeting May 18, 2016

Transcription

1 Item 3 Action Minutes San Mateo Local Agency Formation Commission Meeting May 18, 2016 In the Board of Supervisors Chambers, 400 County Center, Redwood City, California, Chair Cosgrove called the May 18, 2016 meeting of the Local Agency Formation Commission (LAFCo) to order at 2:30 pm. 1. Roll Call Members Present: Commissioners Rich Garbarino, Don Horsley, Ric Lohman (Alternate Special District Member), Mike O Neill, Adrienne Tissier (arrived at 2:39 pm), and Chair Joshua Cosgrove Members Absent: Commissioners Sepi Richardson (Alternate Public Member) and Joe Sheridan Staff Present: 2. Consent Agenda Martha Poyatos, Executive Officer David Silberman, Legal Counsel Jean Brook, Commission Clerk Commission Action: Vice Chair Horsley moved approval of the consent agenda consisting of the Action Minutes for March 16, 2016, approval of LAFCo File Extension of Water Service by the City of Redwood City to a Proposed Single-family Home at 608 Lakeview Way (APN ), Unincorporated Emerald Hills/San Mateo County, and approval of LAFCo File Extension of Water Service by the City of Redwood City to a Proposed Single-family Home at 2029 Cordilleras Road (APN ), Unincorporated Emerald Hills/San Mateo County. Commissioner Garbarino seconded the motion, which passed unanimously. (Ayes: Commissioners Garbarino, Horsley, Lohman, O Neill, and Chair Cosgrove; Noes: None; Abstentions: None; Absent: Commissioners Richardson, Sheridan, and Tissier) 3. Public Comment for Items Not on the Agenda None. 4. Update and Presentation by San Mateo County Harbor District San Mateo County Harbor District General Manager Steve McGrath introduced Harbor District Board President Tom Mattusch, who gave a presentation on the improvements implemented by the District since July 2015.

2 Page 2 Referring to his slide presentation, Mr. Mattusch noted the issues that have been resolved since July 2015, including a five-year capital improvement plan funded by the District s healthy reserves. He noted they have a specialist assisting with grant preparation, who is now working on the beach replenishment project grant at no cost to the District. He said that the District can now accurately report on their operation costs. He noted that the District has paid off all their debt, saving $500,000 per year. He said that now that the District no longer needs to report to the Department of Boating and Waterways, the process to renew the lease of the Oyster Point Bait Shop can happen immediately at the Commission level. Mr. Mattusch said the District now receives quarterly rent reports, allowing the District to proactively manage their properties and their leases. He said, however, that the Board would consider outsourcing their property management. He noted that where possible, the District will improve their leases to better reflect current norms and conditions and maximize the return to the District and the service to the public. Mr. Mattusch said the District has outsourced their IT services with a contract in place. He said they have also outsourced human resources support. He noted that the hiring of Mr. McGrath as the current general manager followed an extensive international search. He noted that Mr. McGrath has developed a vast network of contacts within California. He said the District has eliminated one senior management position and added two project-level staff positions to increase overall operating efficiency of the harbor, noting that the District will shortly ratify the two memoranda of understanding (MOUs) to bring the positions salary and benefits in line. Mr. Mattusch said the District has taken advantage of available grant opportunities and is actively seeking to leverage partnerships to assist it in growth in infrastructure. He noted improvements to the District s website, which now has an active link to OpenGov. Mr. Mattusch noted that in addition to the previously noted accomplishments, the District Board is getting along much better since last year s Municipal Service Review report. He introduced Harbor District Board Member Sabrina Brennan to elaborate on the progress of the Board. Ms. Brennan mentioned that the District s focus has shifted from dealing with in-house conflicts to addressing the needs of the community. She credited Mr. McGrath, their new accounting team, their harbor patrol, help from community stakeholders, and a dedicated Board of Commissioners for turning the District around in under four years. She said the District is focused on improving Pillar Point Harbor and Oyster Point Marina. She said priorities include: Working collaboratively with stakeholders, including the Half Moon Bay Seafood Marketing Association, Midcoast Community Council, and the City of South San Francisco Developing a dredging plan that prevents boats from running aground Reducing erosion by removing sand trapped inside the Pillar Point Harbor breakwater to Surfers Beach and the Princeton shoreline

3 Repairing trail erosion near Pillar Point Marsh Improving commercial lease space to generate additional revenue Renovating Johnson Pier Action Minutes Page 3 Replacing floating docks that pose a safety hazard at both Oyster Point and Pillar Point Expanding the sidewalk in front of tenant restaurants and businesses at Pillar Point Harbor to meet Americans with Disabilities Act (ADA) requirements Improving coastal access Continuing to monitor water quality Ms. Brennan said recent projects include the launch of the OpenGov platform on the District website, as mentioned by Mr. Mattusch, and that the District is now a member of the Special District Risk Management Authority (SDRMA), which has saved approximately $78,000 annually in insurance premiums. She said the District has an agreement with CSG Consultants to expand the sidewalks in front of Pillar Point Harbor s concessionaire building. She noted that beach volleyball will continue there through the summer, which helps the Half Moon Bay High School girls volleyball team. She said the District had submitted a Tiger Grant application in April with letters of support from the Half Moon Bay Seafood Marketing Association, U.S. Congresswoman Jackie Speier, County Supervisor Don Horsley, and the Half Moon Bay Coastside Chamber of Commerce and Visitors Bureau. She said the grant would allow the District to make needed road improvements at Pillar Point Harbor and help in expanding Johnson Pier to better accommodate fish loading on semi trucks. Ms. Brennan said that on April 12, the District officially paid off a multimillion-dollar debt, which it initially took on in 1976, to the Division of Boating and Waterways. She noted that on April 28, a liaison committee met to discuss short- and long-term flood protection plans for Oyster Point Marina. Public Comment: Sabrina Brennan, as a member of the general public, noted that she had brought handouts highlighting her take on recent District accomplishments. James Lee Han, Redwood City resident, said that he is a frequent attendee at Harbor District meetings. He noted the complete turnaround in the way the District has been operating since last July, particularly since Steve McGrath took over as general manager. He added that Lisa Damrosch of the Half Moon Bay Seafood Marketing Association had pointed out that the headway they have made with the fishing industry wouldn t have been possible with the former District staff and previous board members. Mr. Han expressed praise for Board Member Brennan and President Mattusch in supporting the recent progress of the District. He said regarding the absence of nexus that as a Redwood City resident, he doesn t see his stake in the harbor as being any less significant than that of Coastside residents.

4 Page 4 Virginia Chang Kiraly, unincorporated West Menlo Park resident, thanked LAFCo and the Grand Jury for shedding light on District issues and giving the District the opportunity to fix those problems. Commissioner Lohman, a Coastside resident, expressed his thanks to the Harbor Commission s hard work. He said he looked forward to the proposed changes. Vice Chair Horsley asked about the five-year capital improvement plan (CIP), which wasn t part of the presentation. Mr. McGrath said the CIP would be available on the District website. Vice Chair Horsley asked what the current District reserves were and what the Board s policy was on reserves. Mr. McGrath said that while the District hasn t had a reserve policy, they intended to adopt such a policy at their June 15 meeting. He said that their reserves are currently approximately $12 million, which will deplete to a prudent level as they implement their fiveyear CIP. Vice Chair Horsley congratulated Mr. McGrath and the other board members on how far they ve come since the July 2015 hearing. Commissioner Tissier said that she had recently met with Mr. Mattusch and Mr. McGrath and noted that they took LAFCo s and the Grand Jury s comments very seriously and that they have done a tremendous job in turning the situation with the District around. She said that as a result, the desire to dissolve the District that has been expressed in the past doesn t seem to be prevalent now and commended the management and Board on their efforts to rebuild the District. 5. Public Hearing: Consideration of Adoption of Final Budget for Fiscal Year Executive Officer Poyatos referred to the May 11 staff report, which contains the recommended final appropriations budget. She noted that the Cortese-Knox-Hertzberg (CKH) Act requires that the budget be adopted in two phases: (1) a draft budget that must be adopted before May 1 and (2) the final adopted budget that must be adopted by July 1. She reviewed the approval process, beginning with the March 16 meeting, where estimates are presented in the draft budget. Ms. Poyatos noted that she has since worked with the County Manager s Budget Office and more up-to-date numbers associated with the costs of LAFCo s contract with the County. She said one change for the current expenditures in is the replacement of staff computers as part of an equipment upgrade that occurred in County Planning where LAFCo staff is located. She said this change to the estimate affected LAFCo s fund balance carryover, reducing it slightly. Ms. Poyatos said the main difference between what the Commission approved in March for the fiscal year appropriations budget of $454,535 is now at $450,230. She said this also affects the one-third apportionments to the County, the cities, and the independent special districts, as shown on Attachment A. She noted that Attachment B shows what the Commission approved in March. Ms. Poyatos said that staff recommends adopting a resolution approving the recommended final budget shown as $452,230 following any public comment. She noted that because the budget reflects an estimated year-end fund balance, the Commission needs to revisit the

5 Page 5 budget to make any needed adjustments to the actual year-end fund balance after the close of the fiscal year. She said at the time, the Commission would adopt a resolution executing the agreement for services with the County. Commission Action: Vice Chair Horsley moved to close the public hearing. Commissioner Tissier seconded the motion, which passed unanimously. (Ayes: Commissioners Garbarino, Horsley, Lohman, O Neill, Tissier, and Chair Cosgrove; Noes: None; Abstentions: None; Absent: Commissioners Richardson and Sheridan) Commissioner Lohman said that at the quarterly California Special Districts Association meetings, the subject of hiring consultants to do municipal service reviews (MSRs) comes up. He said that while the State mandates that MSRs be conducted every five years, LAFCo must provide the funding. He said that some MSRs have a significant impact, such as the 2015 MSR of the Harbor District, he questioned the value of routine reviews of cities, which do not change their spheres of influence. He asked about the possibility of negotiating with the State about which MSRs are actually needed. Ms. Poyatos responded that San Mateo County has many unincorporated areas that are served by adjacent cities in addition to the County. She said that MSRs in these cases offer the opportunity to consider annexation, for example. She said also that MSRs cover the internal workings of the cities. She noted that the 2015 North County MSR helped the City of Pacifica identify budget trends that needed improvement. She explained that while San Mateo County s city boundaries are geographically limited in terms of significant change, other counties in the State have cities where sphere changes and annexations are common. She pointed out that subsequent rounds of MSRs will not be as labor-intensive as initial reviews and are therefore more cost-effective. Commission Action: Vice Chair Horsley moved to adopt the Recommended Final Appropriations Budget of $450,230 for the Fiscal Year and direct the Executive Officer to distribute it to the County, cities, and independent special districts. Commissioner Garbarino seconded the motion, which passed unanimously. (Ayes: Commissioners Garbarino, Horsley, Lohman, O Neill, Tissier, and Chair Cosgrove; Noes: None; Abstentions: None; Absent: Commissioners Richardson and Sheridan) 6. Public Hearing: Consideration of Appointment of Public Member for Vacant Term Ending May 2018 Ms. Poyatos referred to her staff report of May 11 indicating that the public member position was vacated in January upon Linda Craig s retirement. She said the Commission had appointed a selection committee consisting of a special district, a city, and a County member to interview applicants for the position. She said the committee then made a recommendation to appoint Ann Draper.

6 Page 6 Commission Action: Commissioner Tissier moved to close the public hearing. Vice Chair Horsley seconded the motion, which passed unanimously. (Ayes: Commissioners Garbarino, Horsley, Lohman, O Neill, Tissier, and Chair Cosgrove; Noes: None; Abstentions: None; Absent: Commissioners Richardson and Sheridan) Vice Chair Horsley, who was part of the selection committee, noted the strength and diversity of the seven candidates that applied while noting Ms. Draper s outstanding background. Commissioner O Neill added that the committee also considered geography during their selection process with the intention having Commission members from a variety of locations within the County. Chair Cosgrove said he was pleased that the committee had a good number of experienced applicants and that their final decision required a lot of thought and deliberation. Commission Action: Vice Chair Horsley moved to appoint Ann Draper as the public member for the vacant term ending May Commissioner O Neill seconded the motion, which passed unanimously. (Ayes: Commissioners Garbarino, Horsley, Lohman, O Neill, Tissier, and Chair Cosgrove; Noes: None; Abstentions: None; Absent: Commissioners Richardson and Sheridan) 7. Legislative Report and Possible Action on Pending Bills Ms. Poyatos said her May 11 staff report contains a brief explanation of Assembly Bill 1362 (Gordon) pertaining to an alternative method of appointing trustees to mosquito and vector control districts in California. She said that the report includes a table showing the positions LAFCo has taken on various recent bills. She said that the report also has copies of position letters that the Commission s legislative committee has sent regarding time-sensitive legislation that required positions prior to the next LAFCo meeting. She said there is no anticipated action by the State expected until at least June on AB She noted that three cities in the County have taken a position of opposition: Brisbane, San Bruno, and Foster City and noted that the report also contains a legislative analysis of the bill. Commissioner Lohman mentioned that the last time the Commission had discussed AB 1362, Commissioner Tissier had asked about what feedback they had received from any of the cities. He asked Ms. Poyatos if LAFCo has received any additional feedback since that time. Ms. Poyatos said she believes other cities besides Brisbane, San Bruno, and Foster City have taken positions but would need to contact the cities as to whether they had taken a position. 8. California Association of Local Agency Formation Commissions (CALAFCO) Correspondence a. Thank-you Letter Regarding Participation in the 2016 Annual Staff Workshop, March 30 - April 1, Universal City, Los Angeles

7 b. Report on Attendance at the Staff Workshop Action Minutes Page 7 Ms. Poyatos said her staff report contains a brief summary of the sessions that she and Commission Clerk Jean Brook attended during the workshop. 9. Commissioner/Staff Reports There were no additional Commissioner or staff reports. 10. Adjournment The meeting was adjourned at 3:12 pm.